Contrasting DigitalBridge Group (NYSE:DBRG) & SURO Capital (NASDAQ:SSSS)

SURO Capital (NASDAQ:SSSS) and DigitalBridge Group (NYSE:DBRG) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, profitability, risk, earnings, analyst recommendations and valuation.

Dividends

SURO Capital pays an annual dividend of $0.50 per share and has a dividend yield of 3.9%. DigitalBridge Group pays an annual dividend of $0.04 per share and has a dividend yield of 0.3%. SURO Capital pays out 7.2% of its earnings in the form of a dividend. DigitalBridge Group pays out 2.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Volatility & Risk

SURO Capital has a beta of 1.39, meaning that its share price is 39% more volatile than the S&P 500. Comparatively, DigitalBridge Group has a beta of 1.47, meaning that its share price is 47% more volatile than the S&P 500.

Profitability

This table compares SURO Capital and DigitalBridge Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SURO Capital	10,695.73%	-6.61%	-5.13%
DigitalBridge Group	49.79%	6.31%	3.03%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for SURO Capital and DigitalBridge Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SURO Capital	0	0	5	1	3.17
DigitalBridge Group	1	6	2	0	2.11

SURO Capital presently has a consensus price target of $15.00, suggesting a potential upside of 17.19%. DigitalBridge Group has a consensus price target of $16.00, suggesting a potential upside of 0.34%. Given SURO Capital’s stronger consensus rating and higher possible upside, analysts plainly believe SURO Capital is more favorable than DigitalBridge Group.

Insider and Institutional Ownership

12.9% of SURO Capital shares are held by institutional investors. Comparatively, 92.7% of DigitalBridge Group shares are held by institutional investors. 8.3% of SURO Capital shares are held by company insiders. Comparatively, 3.4% of DigitalBridge Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings & Valuation

This table compares SURO Capital and DigitalBridge Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SURO Capital	$218.95 million	1.52	$48.81 million	$6.98	1.83
DigitalBridge Group	$374.45 million	7.77	$141.87 million	$1.54	10.35

DigitalBridge Group has higher revenue and earnings than SURO Capital. SURO Capital is trading at a lower price-to-earnings ratio than DigitalBridge Group, indicating that it is currently the more affordable of the two stocks.

Summary

DigitalBridge Group beats SURO Capital on 9 of the 17 factors compared between the two stocks.

About SURO Capital

SuRo Capital Corp. is a business development company. The firm seeks to invest in growth capital, late stage and venture capital-backed private companies. SuRo Capital Corp. was founded in 2010 and is based in San Francisco, California with additional office in New York, New York.

About DigitalBridge Group

DigitalBridge is an infrastructure investment firm specializing in digital infrastructure assets. They provide services to institutional investors. They primarily invest in data centers, cell towers, fiber networks, small cells, and edge infrastructure. DigitalBridge Group, Inc. was founded in 1991 and is headquartered in Boca Raton, Florida with additional offices in Los Angles, California, and New York New York.